How To Track And Build Your Credit Score (For Quick Loan Approval)

How To Track And Build Your Credit Score (For Quick Loan Approval)

A credit score is used to define your financial health, therefore considered an important part when you are planning to take a loan. Banks and other financial institutions always check your credit score before unlocking their savings plans, benefits, credit cards, and other favorable items. Moreover, landlords decide whether to offer an apartment on rent to the bad credit score holder or not AND sometimes you have to pay a higher amount to get utilities for the bad credit score only. Therefore it is important for every individual to keep their credit score good all the time.

Here we have some simple ways for your help. Before that, let’s learn what a credit score is.

What is a Credit Score?

Generally, credit score ranges between 300 to 850. If you are looking for a good or bad credit score, remember, every lender has different criteria to calculate credit score before granting a loan. Here we have general detail about credit score;

  • 800 and up are known as an excellent score
  • 740 to 799 are called very good
  • 670 to 739 are good
  • 580 to 669 are considered fair
  • Below 580 is considered poor

How to Track and Build a Credit Score?

Review Your Credit Report Regularly

The first and foremost important thing is to keep an eye on your credit score. Check all your lendings and find out whether you are paying every installment on time. Suppose any installment is outstanding. Clear it now to keep the score high. This will help you to boost your credit score. For a more accurate report, you can reach a nearby credit reporting agency or institute to get your credit report in hand. You can also seek advice from them regarding how to Boost My Credit Score quickly. Experts will guide you for tips, how you can improve your score. Even if there is past unpaid payment, you can also get an idea to clear it. Keep in mind, a bad score takes months and even years to improve. So have patience and keep on checking scores regularly.

Keep Your Credit Use Below 30%

Credit card is the biggest culprit that harms your credit score. One way you will get lucrative deals from credit card agencies to shop and get huge discounts. Other ways it harms your credit score, you make overspending and do not pay any installment on time. Therefore, the best solution is to keep your credit usage below 30% only. Try to avoid overspending, especially for shopping. Use only your debit card or buy things within budget only. Using a card less than 30% won’t put much burden on your pocket to repay and keep your credit score stable.

Some Tips to Boost Your Credit Score

  • Paying your monthly bills on time.
  • Never pay only minimum credit card balance. Pay in full otherwise, go above minimum payment every month.
  • When you are on the way to improve your credit score, do not close your loan account.
  • If you want to close one credit card, keep the high-limit card underworking. Your regular transection can help to improve your score faster.

Hope the above information helps you to know about your credit score. Try to keep handy credit reports from online resources and clear your credit card payment in a fixed schedule.



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